Frequently Asked Questions for Companies Registered in Pakistan
ANSWERS TO FREQUENTLY ASKED QUESTIONS REGARDING COMPANIES REGISTRATION AND RELATED MATTERS.
1. Which form of Business Registration is suitable for long term business in Pakistan?
The most suitable form of business registration in Pakistan for carrying out business is to get your business registered as Private Limited Company Registration. Investment is made in Private Limited Company in the form of equity shares which is divided among the share holders based on the investment made.
The basic requirements for Private Limited Company Registration in Pakistan are as follows:-
2. How long it takes to get Private Limited Company Registered?
Private Limited Company registration takes approximately 10-12 working days the breakup of the days is mentioned below:
|Name Availability Application
|Digital Signatures of Directors
|Preparation & Submission of Documents for Registration
|Liaison with SECP and Correction in case of discrepancies
|Issue and Collection of Certificate of Company Registration
3. What is the Cost involved in Private Limited Company Registration?
The cost involved in company registration in Pakistan is depends on the Authorized Capital of the company. However, the approximate cost to get Private Limited Company registered is PKR 10,000 – 14000 depends on the mode of registration and type of companies.
4. What are the requirements for the foreign companies operating in Pakistan?
Foreign companies operating in Pakistan are treated as local companies. Some of the basic requirements for foreign companies are as follows:
Foreign companies starting operations in Pakistan have to take approval from the Board of Investment of Pakistan before registration.
Company needs to maintain its Books of Accounts.
Company needs to gets its accounts audited from a Chartered Accountant firm in Pakistan.
Company needs to file its tax return with Federal Board of Revenue annually.
Income Tax rate for companies is 35%.
5. Is it possible for a company to be sole share holder & director of another Private Limited Company?
Since the basic requirement for registration of Private Limited Company is to have minimum of two directors. Hence the requirement needs to be full filled in order to get the company registered. To overcome any such situation you can give 99% to shares to one shareholder and 1% to the other. The shareholder of a company can be another company but such company has to appoint a person to represent the company in meetings and for other purposes.
6. Is it compulsory for directors to be present in Pakistan to get the Private Limited Company registered?
It is not compulsory for directors to be present in Pakistan to get Private Limited Company registered. Documents can be send through courier and the Securities Exchange Commission of Pakistan does not need the directors to physically appear in their office at any stage of company registration.